GOP TAX PLAN

[Jim in CT]

Originally Posted by spence

No, the 2017 law is already set.

The tax benefit to the Middle Class is minimal. The real recipients are the super wealthy and corporations who will, if history is any guide, use the savings to buy back stocks and increase dividends.

Companies in the US area already sitting on over 2 trillion in cash with another 2.5 trillion overseas. A lack of funds isn't inhibiting domestic growth.

You're not going to see much economic impact from this plan if it passes. Many think the market is already overvalued and the idea that more free cash will lead to wage growth is silly. Companies pay based on perceived value, not available money to spend.

"The real recipients are the super wealthy and corporations"

Who benefits from doubling the standard deduction? The wealthy itemize deductions, they don't use the standard deduction.

"if history is any guide, use the savings to buy back stocks and increase dividends. "

Buying back stocks, increases stock price. That's good for everyone who has a 401k or an IRA, correct?

"Companies in the US area already sitting on over 2 trillion in cash with another 2.5 trillion overseas. A lack of funds isn't inhibiting domestic growth"

A lack of confidence is stifling growth. The cost of growing here, is an impediment to growth. False?